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Charlene is evaluating a capital budgeting project that should last for 4 years. The project requires $975,000 of equipment and is eligible for 100 s

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Charlene is evaluating a capital budgeting project that should last for 4 years. The project requires $975,000 of equipment and is eligible for 100 s benus depreolation. She is ung Whether immediately expensing the equipment or using straight-line depreciation is better for the analysis. Under straight-line depreciation, the cost of the equipment would be depreciated evenly over its 4-year life (ignore the half-year convention for the straight-line method). The company's Wacc is 9%, and its tax rate is 20%. a. What would the depreciation expense be each year under each method? Enter your answers as positive values. Round your ansivers to the nearest dollar. b. Which deneriatina mathod would produce the higher NPV? Row much.haher would the NPV be under the preferred methed? Do not round intermediate calculations. Round your answer to the nearest dolas. 5

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